{"id":1813,"date":"2018-04-18T15:11:58","date_gmt":"2018-04-18T15:11:58","guid":{"rendered":"https:\/\/www.certitrek.com\/nlpa\/?p=1813"},"modified":"2023-05-31T04:43:04","modified_gmt":"2023-05-31T08:43:04","slug":"procurements-digital-transformation","status":"publish","type":"post","link":"https:\/\/www.certitrek.com\/nlpa\/blog\/procurements-digital-transformation\/","title":{"rendered":"Procurement\u2019s Digital Transformation"},"content":{"rendered":"

One of the hot buzzphrases in 2018 is \u201cdigital transformation.\u201d<\/p>\n

The phrase is often used in business contexts. \u00a0For example, I really like the definition that\u00a0The Enterprisers Project uses on their website: \u00a0\u201cDigital transformation is\u00a0the integration of digital technology into all areas of a business, fundamentally changing\u00a0how you operate and deliver value to customers. It\u2019s also a cultural change that requires organizations to continually challenge the status quo, experiment, and get comfortable with failure.\u201d<\/p>\n

So, naturally, if digital transformation is going on in business, it is happening in procurement also.<\/p>\n

In my mind, the concept of digital transformation is really not new,\u00a0even though the buzz phrase is. \u00a0Many organizations have been increasingly replacing non-digital processes with digital processes for decades. \u00a0So, I see the changes that are happening in many organizations as more of a digital\u00a0evolution<\/em>\u00a0than a digital transformation.<\/p>\n

\u201cEvolution\u201d implies a gradual change over a long period of time. \u00a0\u201cTransformation\u201d implies a massive change in a compressed period of time.<\/p>\n

Regardless, the time\u00a0to be a heavily digital business \u2013 and a heavily digital procurement department \u2013 is now. \u00a0How you get to where you need to be is determined by what has been happening over the past several years. \u00a0Does getting to world-class involve just a few tweaks on changes that are already in process (evolution)? \u00a0Or does it involve the need for massive changes from where you are today (transformation)?<\/p>\n

If your department is in the need of a true procurement digital transformation, it won\u2019t be easy. \u00a0But I stumbled upon a report that will help you evaluate your procurement department\u2019s readiness for a digital transformation.<\/p>\n

That report is called \u201cDigital Transformation in Procurement: \u00a0An Examination of Cultural Influences on the Successful Implementation of a Digital Strategy.\u201d \u00a0It is authored by the eternally insightful Jon Hansen, best known for his work on\u00a0Procurement Insights.<\/p>\n

The report reviews four cultural characteristics of an organization that can enable \u2013 or hamper \u2013 its ability to effectively make a digital transformation. \u00a0Though the report is powerful in its detail, it really helps you focus on some key fundamental questions that will help you self-assess your organization\u2019s readiness for a procurement digital transformation.<\/p>\n

You can check out the report on SlideShare\u00a0here<\/a>.<\/p>\n

Recommended Reading<\/b><\/p>\n